Frozen food retailer Iceland is continuing its distribution relationship with DHL Supply Chain, awarding it a further five-year contract worth £500M.
The deal means DHL will serve a further 70 Iceland stores, mainly in the south of England, as the company continues to expand over the next year.
DHL claims to have saved Iceland £4M in operating costs last year through improvements in warehouse productivity, planning, delivery rationalisation and fuel efficiency initiatives. It said it was on target for a further £3M worth of savings this year.
“DHL have proved over the last three years that they are capable of responding to the needs of the Iceland business,” said Iceland supply chain director John Mackie. “They have driven cost savings while significantly improving service to our stores.”